Bitcoin Surges, Ethereum Jumps 7%: Powell’s Speech Ignites Crypto Rally
Crypto markets roar back to life as Federal Reserve Chair Jerome Powell's latest remarks send digital assets soaring—proving once again that traditional finance moves at the speed of dial-up while crypto operates on fiber optics.
Bitcoin leads the charge with explosive momentum, breaking through resistance levels as institutional money floods back into the space. Meanwhile, Ethereum doesn't just follow—it leaps ahead with a 7% surge that leaves altcoins scrambling to keep pace.
Traders who'd been sidelined during recent volatility now scramble for position, fueling a classic fear-of-missing-out rally that turns cautious optimism into full-blown momentum. The timing couldn't be more perfect—or more suspiciously coordinated—for those who've learned to expect the unexpected from central bank communications.
Powell's words clearly hit different this time, offering just enough regulatory clarity and monetary policy hints to give crypto the green light it's been waiting for. Because nothing says 'decentralized revolution' like hanging on every word from a central banker.
This isn't just a bounce—it's a statement. Markets have spoken: digital assets remain hypersensitive to macroeconomic signals, ready to pivot on a dime when traditional finance drops even the slightest hint. The revolution will be monetized, and apparently, it'll also be waiting for Fed meeting transcripts.
What did Powell say?
As investors cheered Powell’s speech at Jackson Hole, the global crypto market gained 2.5% to over $3.95 trillion. The gains also triggered a surge in liquidations, which climbed 85% to over $585 million as the sudden price spike caught shorts off guard.
Powell’s speech at the central bank’s annual symposium in Wyoming was a highly anticipated event. While the Fed chair did not explicitly state that a rate cut is coming in September, his remarks provided a strong hint.
In particular, Powell said current conditions ‘may warrant’ the central bank’s MOVE to cut interest rates.
“With policy in restrictive territory, the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance,” Powell added.
The remarks now see investors increase bets on a rate cut in September, with the CME FedWatch tool now reading 90%.
Powell also signaled that the Fed wants to move away from its framework requiring it to target inflation strictly at 2%. With these details in place, crypto and other risk assets are likely to continue higher.
